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Cannot find "Deductions and Credits" to get Foreign Taxes Paid credit. I must be stupid.

jeffreyholtz
Level 1
Help me input the small Foreign Taxes Paid from box 7 of the 1099-DIV. I do not see "Deductions
Labels (1)
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7 Replies 7
sjrcpa
Level 15

Might the foreign tax be small enough that they can elect to not file the 1116?


ex-AllStar
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jeffreyholtz
Level 1

Instructions: 

Foreign Tax Paid

To report the Foreign Tax Paid and record the source of foreign income:

1.  Go to Deductions and Credits. (WHERE!!!)

2.  Select Estimates and Other Taxes paid.  From here you will choose Foreign Taxes. (WHERE!!!)

3.  The opening page requires you to Continue.  The next page is Tell Us About Your Foreign Taxes, you will check the first box that you don't have any other Foreign Tax except those entered on 1099-DIV.  Continue. (WHERE!!!)

I cannot find where to get to Estimates and Taxes Paid.

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jeffreyholtz
Level 1

The instructions say: Go to "Deductions & Credits" I cannot find that-I see "Deductions" and I see "Credits" Where?

 

Then it says go to Taxes, but where?

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JMP
Level 2

This is a discussion group for ProConnect Tax software. The instructions you quote below are not for ProConnect Tax. Here are the correct instructions: https://proconnect.intuit.com/community/form-1116/help/generating-form-1116-foreign-tax-credit-for-a...

nmms
Level 3

Generating Form 1116 Foreign Tax Credit for an Individual Return

Dividend income

  1. Go to the Input Return tab.
  2. On the left-side menu, select Credits.
  3. Click on Foreign Tax Credit (1116).
  4. Select the country from the Name of foreign country drop-down list.
  5. Select the Category of income from the drop-down menu.
  6. On the left-side menu, select Income.
  7. Click on Dividend Income (1099-DIV).
  8. Enter the Name of Payer.
  9. Enter the dividend income in Total Ordinary Dividends.
  10. Enter any qualified dividends in Qualified dividends.
  11. Enter any capital gains in Capital Gain Distributions.
  12. Click the Details button on the right side of your screen to expand the input area.
  13. Scroll down to the Foreign Tax Credit section and complete the information there:
    • Select the Name of foreign country (must be the same as selected in step 4).
    • Select the Category of income (must be the same as selected in step 5).
    • Enter the Percentage foreign (.xxxx) or amount, if different if applicable.
    • Enter the Foreign income tax withheld (U.S. dollars).
    • Check the box Foreign taxes accrued if applicable.
    • Enter the Date paid or accrued.

Note: For ProConnect Tax Online to calculate the Credit for Foreign taxes paid, an entry under U.S. Dollars must be made. Entries under the Foreign Currency section will not generate a credit. ProConnect Tax Online cannot convert foreign currency amounts to U.S. dollars, so any currency conversion must be done outside of the program.  

You can find this by going to the Help Portal and typing Foreign Tax Paid in the search bar and then selecting Generating Form 1116 Foreign Tax Credit for an Individual Return and then selecting Dividend income under type of income.

If you go to General Information and Elections, you can elect not to file Form 1116.

 

jeffreyholtz
Level 1

This solution does not fit the simple info that was sent me on the 1099-DIV. All I got was a silly little $14 Foreign Tax Paid in Box 7. I don't know the country because it can from a mutual fund in a portfolio. I just need a simple way to put the credit it. I just have summary information. 

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PhoebeRoberts
Level 9
Level 9

That solution is how you do it, though, even for a silly little $14. OC = Other Countries is the e-file version of "various" or "RIC" for the country name.